Wednesday, February 27, 2013

Drive: The surprising truth about what motivates us

I can say that money wasn't a prime motivator for my trading, at least when I was doing it well, after I had reached a point when I had enough to live on. When money did become more important my trading suffered. As almost any trader will say, when your mind turns to the money you could be making or losing on a particular trade you will make poorer decisions. This is because taking a loss makes concrete a loss of money and closing a winning trade also makes concrete the gain. This is the exact opposite of what is necessary for successful trading, cutting your losers fast and letting your winners run.